Pure Storage Gets Backing From CIA’s Venture Firm

Storing data on flash-memory chips may be the hottest trend in corporate computer rooms. U.S. intelligence agencies also have a keen interest, to judge from the latest move by the venture firm that represents them.

In-Q-Tel, the non-profit investment firm, has invested an unspecified amount in Pure Storage, one of an increasing number of startups selling data-storage hardware that exploit flash technology.

Scott Dietzen, Pure’s chief executive, says the reasons aren’t particularly mysterious. Like others adopting its products, organizations like the Central Intelligence Agency have some computing missions where speed is of the essence–and speed is the key attribute causing customers to shift some jobs from disk drives to the solid-state variety created with flash memory.

But the intelligence groups also have some special requirements, Dietzen says. The most obvious one is security; as a result, Pure is building in powerful encryption technology so that data stored on its hardware can’t be read by attackers–even if they physically stole a solid-state drive from one of its boxes.

The government customers naturally also want devices that can’t be remotely penetrated by attackers. “They want a supremely hardened product,” Dietzen says.

Another issue is the security of software used on Pure’s devices, particularly any open-source programs whose provenance is not clear, Dietzen says.

Pure has been informally talking to In-Q-Tel for years, but the relationship has deepened more recently, Dietzen says. Including the money they have put in, the company has raised a total of $95 million from venture capitalists and companies such as Samsung Electronics, a major source of flash-memory chips for the company.

The Silicon Valley company–which on Wednesday also announced an update of its products that double their speed and storage capacity–has about 170 employees now and expects about 200 in the third quarter, Dietzen says. “We are hiring like crazy,” he says.

Lisa L. Bader, In-Q-Tel’s senior vice president of external affairs, declined to comment on any specific aspects of the firm’s relationship with Pure. But a firm partner, T.J. Rylander, said in a prepared statement that it is pleased to be partnering with the company to accelerate development of its technology.

“This solution has great potential to address critical reliability, performance, efficiency and data storage cost requirements for the U.S. Intelligence community,” he said.